NOVATO,
Calif., Feb. 9, 2023 /PRNewswire/ -- Hennessy
Advisors, Inc. (Nasdaq:HNNA) reported results for its first
fiscal quarter of 2023, which ended December
31, 2022. The firm also announced a quarterly dividend of
$0.1375 per share to be paid on
March 6, 2023, to shareholders of
record as of February 21, 2023, which
represents an annualized dividend yield of 5.6%.*
"There is no doubt that 2022 was a tumultuous year in the
financial markets. All the major indices suffered losses as our
economy dealt with inflation, oil price shocks, interest rate
increases, war, political division, and the rumors of an impending
recession. I feel certain that volatility actually created a
shifting investment landscape as investors had to go back to basics
and invest utilizing fundamentals while they watched FAANG stocks
fall from all-time highs, cryptocurrency implode, and
meme-stock euphoria subside. Here at Hennessy, six of our sixteen
mutual funds were positive in 2022, as we stick to value investing
for the long-term," said Neil
Hennessy, Chairman and CEO. "Although we will likely
see continued volatility, I remain confident that our economy is in
good shape. The unemployment rate is low at 3.5%, and in the final
quarter of 2022 real GDP grew at an annualized rate of 2.9%, even
amidst interest rate hikes and inflationary pressure. We may
continue to have corrections along the way, but I believe we have
the potential for real growth in the market and in our economy over
the longer term," he added.
"We are excited to add the first ETF to our line-up, the
Hennessy Stance ESG Large Cap ETF (NYSE: STNC). While our
assets under management were down year over year, we feel confident
that expanding our product offerings while adapting and innovating
our sales and marketing program with broader digital engagement
will help support organic growth in the future," said Teresa Nilsen, President and COO. "We have
experienced many market cycles in our years in the investment
industry, and we have maintained a conservative balance sheet and
an income statement with significant variable costs to navigate a
variety of market environments. Our available cash net of debt has
grown 17.9% this calendar year, and we are both optimistic and
prepared for new strategic acquisition opportunities when they
arise," she added.
Summary Highlights (compared to the prior comparable
quarter ended December 31, 2021):
- Total revenue of $6.1 million, a
decrease of 28%.
- Net income of $1.1 million, a
decrease of 42%.
- Fully diluted earnings per share of $0.15, a decrease of 40%.
- Average assets under management, upon which revenue is earned,
of $3.0 billion, a decrease of
26%.
- Total assets under management of $3.0
billion, a decrease of 26%.
- Cash and cash equivalents, net of gross debt, of $16.8 million, an increase of 18%.
|
|
Financial
Highlights
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Change
|
|
|
2022
|
|
2021
|
|
Dollar
|
|
Percent
|
Total
Revenue
|
|
$
6,144,863
|
|
$
8,534,371
|
|
$
(2,389,508)
|
|
-28.0 %
|
Net Income
|
|
1,119,100
|
|
1,912,532
|
|
(793,432)
|
|
-41.5 %
|
Earnings Per Share
(Diluted)
|
|
0.15
|
|
0.25
|
|
(0.10)
|
|
-40.0 %
|
Weighted Average Number
of Shares Outstanding (Diluted)
|
|
7,581,157
|
|
7,522,686
|
|
58,471
|
|
0.8 %
|
Average Fund Assets
Under Management
|
|
3,044,246,652
|
|
4,099,272,805
|
|
(1,055,026,153)
|
|
-25.7 %
|
|
|
|
|
|
|
|
|
|
|
|
As of December
31,
|
|
|
|
|
|
|
2022
|
|
2021
|
|
|
|
|
Total Fund Assets Under
Management
|
|
$
3,009,457,663
|
|
$
4,072,848,989
|
|
$(1,063,391,326)
|
|
-26.1 %
|
Cash and Cash
Equivalents, Net of Gross Debt Balance
|
|
16,800,396
|
|
14,252,322
|
|
2,548,074
|
|
17.9 %
|
About Hennessy Advisors, Inc.
Hennessy Advisors, Inc.
is a publicly traded investment manager offering a broad range of
domestic equity, multi-asset, and sector and specialty funds.
Hennessy Advisors, Inc. is committed to providing superior service
to shareholders and employing a consistent and disciplined approach
to investing based on a buy–and–hold philosophy that rejects the
idea of market timing.
Supplemental Information
Nothing in this press release
shall be considered a solicitation to buy or an offer to sell a
security to any person in any jurisdiction where such offer,
solicitation, purchase, or sale would be unlawful under the
securities laws of such jurisdiction.
Forward-Looking Statements
This press release
contains "forward-looking statements" for which Hennessy Advisors,
Inc. claims the protection of the safe harbor contained in the
Private Securities Litigation Reform Act of
1995. Forward–looking statements relate to expectations and
projections about future events based on currently available
information. Forward–looking statements are not a guarantee of
future performance or results and are not necessarily accurate
indications of the times at which, or means by which, such
performance or results may be achieved. Forward–looking
statements are subject to risks, uncertainties, and assumptions,
including those described in the sections entitled "Risk Factors"
and elsewhere in the reports that Hennessy Advisors, Inc. files
with the Securities and Exchange Commission. Unforeseen
developments could cause actual performance or results to differ
substantially from those expressed in, or suggested by, the
forward–looking statements. Hennessy Advisors, Inc. management does
not assume responsibility for the accuracy or completeness of the
forward-looking statements and undertakes no responsibility to
update any such statement after the date of this press release to
conform to actual results or to changes in expectations.
View original
content:https://www.prnewswire.com/news-releases/hennessy-advisors-inc-reports-quarterly-earnings-per-share-and-announces-quarterly-dividend-301743414.html
SOURCE Hennessy Advisors, Inc.